TECUMSEH — An expansion project by the owners of the former Lenawee Stamping Corp. plant was awarded a $5.3 million state grant this week.

Gov. Rick Snyder and state Rep. Nancy Jenkins announced that Van-Rob Inc. was awarded a Michigan Business Development Program performance-based grant. The grant is for a $30.7 million project the company is pursuing, which includes expanding its Tecumseh plant at the corner of East Chicago Boulevard and Rogers Highway and for the construction of a new facility at a location to be determined in Michigan.

“I’m pleased that Lenawee Stamping is investing in our local communities and our state’s economy,” Jenkins, R-Clayton, said in a news release. “Our state has become a much better place to do business in the past two years, and companies like Lenawee Stamping investing here are proof of that. I congratulate everyone who has been working on this project and look forward to the business expansion and job creation that will come from it.”

The Michigan Business Development Program is part of the Michigan Strategic Fund. According to the program’s guidelines, grant agreements include provisions requiring the repayment of grant funds if certain conditions aren’t met. The conditions of the Van-Rob grant were not immediately available.

Van-Rob, which is based in Aurora, Ontario, expects to add 530 jobs through its expansion, with 200 of them in Tecumseh in the next seven years. The Tecumseh City Council on Jan. 7 approved a seven-year, 100 percent property tax abatement for the company. City manager Kevin Welch said the company is planning to invest $10 million to $20 million in its Tecumseh plant in the next seven years.